Amanze Chinonye
The Centre for the Promotion of Private Enterprise (CPPE) has warned that the Senate’s resolution seeking a ban on textile fabric imports could trigger widespread job losses, disrupt key industries and weaken Nigeria’s economy, arguing that the proposal addresses the wrong problem, Prime Business Africa reports.
In a statement issued on Sunday, CPPE Chief Executive Officer, Dr. Muda Yusuf, said although reviving Nigeria’s textile industry is a legitimate objective, an outright import ban would do more harm than good by disrupting supply chains that sustain the country’s garment, fashion, furniture and creative industries.
Join our WhatsApp ChannelREAD ALSO :
40 Hidden Business Opportunities In Nigeria (No Capital Needed)
According to Yusuf, the proposed restriction could threaten the livelihoods of millions of Nigerians employed across the broader textile value chain, particularly in the fashion and garment sector, which he estimated is worth about ₦10 trillion and supports nearly 10 million jobs.
He explained that imported textile fabrics serve as critical raw materials for thousands of micro, small and medium-sized enterprises engaged in tailoring, fashion design and garment production. A ban, he said, would drive up production costs, reduce consumer choice and weaken businesses that add significant value to the economy.
Yusuf also noted that the furniture and interior design industry, valued at an estimated ₦7 trillion, relies heavily on textile fabrics for upholstery, office furniture, hotel furnishings and mattresses, warning that supply disruptions would erode the sector’s competitiveness.
READ MORE :
Solar Panels Import Ban Will Worsen Energy Access Problem – CPPE
The CPPE chief argued that the collapse of Nigeria’s textile industry is rooted in longstanding structural challenges rather than import competition.
He identified high energy costs, poor infrastructure, expensive credit, obsolete technology, logistics bottlenecks, policy inconsistency and widespread smuggling as the major constraints preventing local manufacturers from competing effectively.
According to him, imported textile fabrics already attract combined Import Duty and Import Adjustment Tax (IAT) of between 35 and 45 per cent, yet the industry has continued to struggle because the underlying problem is the high cost of production, not inadequate tariff protection.
Yusuf further argued that domestic textile manufacturers currently lack the capacity to meet the quantity, quality and variety of fabrics required by Nigeria’s fashion, garment, furniture and interior design industries.
He warned that an outright import ban would therefore create supply shortages, raise production costs and hurt downstream industries that collectively employ far more Nigerians than the textile manufacturing sector itself.
Instead of imposing import restrictions, the CPPE urged the government to pursue reforms aimed at improving the competitiveness of local manufacturers.
READ ALSO :
Nigeria, Ghana Reopen Onion Trade Corridor After Lifting Restrictions
Among its recommendations are mandatory procurement of locally produced textiles and garments by military and paramilitary agencies, schools and other public institutions; the establishment of a Textile Competitiveness Fund financed from textile-related import taxes; renewed investment in cotton production through improved seedlings, mechanisation and enhanced security for farmers; stronger border enforcement to curb smuggling; and measures to reduce energy costs, improve infrastructure and expand access to affordable financing.
Yusuf warned that banning textile imports could also fuel smuggling and reduce customs revenue while undermining industries that currently generate substantial domestic value addition.
He maintained that the sustainable revival of Nigeria’s textile industry depends on structural reforms that lower production costs, improve productivity, restore cotton production and strengthen local manufacturing, rather than imposing an outright ban on textile imports.
Amanze Chinonye is a Staff Correspondent at Prime Business Africa, a rising star in the literary world, weaving captivating stories that transport readers to the vibrant landscapes of Nigeria and the rest of Africa. With a unique voice that blends with the newspaper's tradition and style, Chinonye's writing is a masterful exploration of the human condition, delving into themes of identity, culture, and social justice. Through her words, Chinonye paints vivid portraits of everyday African life, from the bustling markets of Nigeria's Lagos to the quiet villages of South Africa's countryside . With a keen eye for detail and a deep understanding of the complexities of Nigerian society, Chinonye's writing is both a testament to the country's rich cultural heritage and a powerful call to action for a brighter future. As a writer, Chinonye is a true storyteller, using her dexterity to educate, inspire, and uplift readers around the world.
